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Following Through and What to Offer a JV Partner

(This is the fifth of a multi-part series on joint ventures.)

One of the most important things you will ever need to look at and do if you’re going to be involved in a joint venture is the follow through. It is a matter of actually doing what you say you’ll do in regards to paying when it comes to your split venture. This means you  need to look at all of the different options as well as who it is you are partnered with to be able to go and determine the pay structure of your joint venture.

The most popular and regular method of paying yourself in a JV is through a split pay system. In this method you’ll be dividing the profits amongst you and your joint venture partner.

You and your partner have to decide which is the best way to use and divide the profits and the revenues that you are able to produce as a result of your joint venture. You’ll need to look at how to use the money you are bringing in.

There are a number of options you must consider when you do start to bring in the money from your investment. You will of course need to pay yourself out of that money. You’ll need to consider if you want to reinvest it or if you are going to simply
pocket all of it.

A decision has to be made whether to continue putting money into your joint venture in order to be able to maintain the momentum you’ve struck with this JV.

Know What You Have To Offer Joint Venture Partners

There are many facets to building a successful joint venture project, but if you want to find JV partners who will help you to build a successful business, the first thing to do is to look within.

Before you start to look at all of the options  available you need to ask the question that everyone
is going to want to have answered before they agree to work with you.

What is in it for me? Why should a business partner work with you? In fact, in many cases, you need to also ask the question, what makes your joint business venture so much better than others that may be available? If you cannot answer these questions, then you  finding business partners to work with will be a major obstacle.

What do you have to offer, then?

  • Give realistic viewpoints of things like income and recognition especially if the business venture is brand new. Promising too much only will limit the success of your partnership.
  • Do provide proof for the claims you make. You can give them facts about the value or the need for the product or service you’re offering. Show them there’s a need for it.
  •  Explain your ability to give them wow experiences or to help them to be a part of something big.
  • Provide them with information about the long-term success you have had, encourage them to be part of your next venture because it will be just as powerful.
  • Do give them realistic goals about their future and what it means to be a partner with you at this point.
  • Focus on their needs and desires instead of your own.

It’s important to know what you can offer someone before you start looking for others because it provides so much of a strong
encouragement to someone when you do find the people to connect with. Do your research now so you can impress them later.

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